U.S. To Spend $2.1 Billion On GlaxoSmithKline-Sanofi Covid-19 Vaccine

TOPLINE

The U.S. agreed to spend $2.1 billion on a joint experimental Covid-19 vaccine from  GlaxoSmithKline and Sanofi to supply the nation with an initial 100 million doses, bringing the country’s total vaccine spend under Operation Warp Speed to over $8 billion. 

KEY FACTS

More than half of the $2.1 billion will be used to support clinical trials, which will begin in September and, if successful, move into late stages by the end of the year—which could lead the companies to seek regulatory approval in the first half 2021.

This is the biggest Covd-19 vaccine deal yet for the U.S. government, beating the $1.95 billion agreement last week for 100 million doses of Pfizer and BioNTech’s Covid-19 vaccine. 

Under the GSK-Sanofi deal, the U.S. will have the option to purchase up to 500 million additional doses (as were the terms of the Pfizer-BioNTech deal). 

“The global need for a vaccine to help prevent COVID-19 is massive, and no single vaccine or company will be able to meet the global demand alone,” said Executive Vice President and Global Head of Sanofi Pasteur Thomas Triomphe in the July 31 announcement

In addition to clinical trials, the money will also be used on manufacturing and delivery of the initial 100 million doses.

The companies are working with other nations to manufacture 1 billion doses of the vaccine annually for use across the globe.

Big Number

Over $8 billion. That’s how much the U.S. has spent to fund, manufacture and secure hundreds of millions of doses of Covid-19 vaccines from Pfizer-BioNTech, Moderna and AstraZeneca, according to the New York Times.

Crucial Quote

“Today’s investment supports the Sanofi and GSK adjuvanted product all the way through clinical trials and manufacturing, with the potential to bring hundreds of millions of safe and effective doses to the American people,” said U.S. Health and Human Services Secretary Alex Azar in the GSK-Sanofi announcement. 

Key Background

Last week, the U.S. bought 100 million doses of the Pfizer-BioNTech vaccine for less—at $1.95. Even though this vaccine is at later clinical trial phases and could be available to U.S. patients under Emergency Use Authorization as early as October, it’s powered by messenger RNA, a biotechnology that has yet to be used in FDA-approved vaccines. On the other hand, the GSK-Sanofi vaccine is made from recombinant DNA, a technology that powers approved vaccines, including ones for hepatitis B and human papillomavirus, says NIAID. The technology works by enabling DNA to encode an antigen, which provokes an immune response—then purifies the antigen, per Nature.

Further Reading

Sanofi and GSK selected for Operation Warp Speed to supply United States Government with 100 million doses of COVID-19 vaccine (GlaxoSmithKline)

Recombinant vaccine (Nature)

Vaccine Types (NIAID)

Pfizer Gets $1.95 Billion U.S. Deal For 100 Million Doses Of Planned Covid-19 Vaccine (Forbes)

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